Wilmington NC Housing Market: Price, Trends, Forecast 2023-2024


Wilmington NC Housing Market: Price, Trends, Forecast 2023-2024

Wilmington, North Carolina, is a coastal city with a vibrant economy and a growing population. The Wilmington housing market has been strong in recent years, with home prices rising steadily.

How is the Wilmington housing market doing currently? According to Movoto, the median list price of homes in Wilmington, NC was $444,450 in November 2023, compared to $390,000 in 2022. Wilmington, NC, is a seller’s market, which indicates that more people were looking to buy than available homes.

Several factors contribute to the strength of the housing market in Wilmington:

  • Attractive Location: Wilmington is a sought-after destination for retirees and second-home buyers, enticed by its warm climate, stunning beaches, and historic downtown area.
  • Economic Growth: The local economy is thriving, resulting in the creation of new jobs across various industries.
  • Limited Supply: A shortage of available homes is exerting upward pressure on prices, intensifying the competition among buyers.

Wilmington Housing Market: Prices and Trends

According to Redfin, as of November 2023, the market has seen a 5.0% increase in home prices, with a median sale price of $420,000. The Wilmington housing market is highly competitive, with homes receiving an average of 4 offers and selling in approximately 18 days. The median sale price per square foot is $255, reflecting a 9.4% increase since the previous year. In November 2023, 131 homes were sold, a slight decrease from the 155 sold in the same period last year.

The overall trend showcases a robust and fast-paced real estate environment in Wilmington. Homes in the area sell in an impressive 13 days on average. Many homes receive multiple offers, with some buyers opting for waived contingencies. The average homes sell for about 1% below the list price, emphasizing the high demand and rapid turnover in the market.

The sale-to-list price ratio for all home types in Wilmington is 98.8%, indicating that homes typically sell close to their list price. This ratio has seen fluctuations over the years, and in 2023, it remains strong at 98.8%. The figures reflect the robust demand and the competitive nature of the market.

Wilmington Housing Market Forecast 2024

According to Zillow, the Wilmington housing market has experienced a robust performance, with the average home value reaching $391,499, marking a significant 6.1% increase over the past year. Homes in the area are in high demand, typically going pending in around 11 days, showcasing the competitive nature of the market.

As of November 30, 2023, the for-sale inventory stands at 640, accompanied by 262 new listings, indicating a dynamic real estate landscape. The median sale to list ratio, as of October 31, 2023, is a promising 0.993, reflecting the strong negotiation power of sellers.

Additionally, the median sale price is reported at $378,417, while the median list price is slightly higher at $435,167. Notably, 31.1% of sales are over the list price, demonstrating the competitive and lucrative nature of the Wilmington housing market.

Wilmington MSA Housing Market Forecast for 2023 and 2024

The Wilmington Metropolitan Statistical Area (MSA) is forecasted to exhibit continued stability in the coming years. According to data, as of November 30, 2023, the forecast predicts a modest increase of 0.1% by the end of 2023 and a slight decrease of -0.1% by February 29, 2024.

However, a more substantial growth of 1.5% is anticipated by November 30, 2024. This forecast suggests a steady and positive trajectory for the Wilmington MSA housing market in the near future.

The Wilmington Metropolitan Statistical Area (MSA) encompasses counties in the state of North Carolina. The MSA includes regions such as Wilmington and plays a crucial role in defining the housing market dynamics for the area. The counties within this MSA contribute significantly to the overall economic and real estate landscape, making it a pivotal entity in the regional context.

Key Questions about the Wilmington Housing Market

Is It a Buyer’s or Seller’s Housing Market?

In the current scenario, the Wilmington housing market leans towards being a seller’s market. The high demand, quick turnaround for home sales, and a median sale to list ratio of 0.993 suggest that sellers hold a favorable position in negotiations, indicating a market where sellers have the upper hand.

Are Home Prices Dropping?

As of the latest available data in October 31, 2023, home prices in Wilmington have shown no indication of dropping. With the median sale price at $378,417 and a robust market, there is currently no evidence of a decline in home prices in the Wilmington area.

Will This Housing Market Crash?

Based on the forecasted data, there is no imminent risk of a housing market crash in Wilmington. The modest fluctuations projected in the forecast indicate a stable and resilient market, providing confidence in the sustained health of the real estate landscape in the coming years.

Wilmington Housing Market Forecast 2024
Source: Zillow

Should You To Invest in Wilmington Real Estate Market?

Wilmington, North Carolina, is not only a picturesque coastal city but also a burgeoning real estate market with a lot to offer investors. Before delving into the reasons to invest in Wilmington real estate, let’s start with an overview of the market:

Wilmington’s real estate market has experienced consistent growth in recent years. With its beautiful beaches, vibrant culture, and a strong job market, the city attracts both residents and tourists. This influx of people has driven demand for housing, making Wilmington an attractive destination for real estate investors.

The city offers a diverse range of properties, including single-family homes, condominiums, and rental apartments. The market caters to various investment strategies, from long-term rental properties to short-term vacation rentals, providing flexibility for investors.

Now, let’s explore the top reasons to invest in Wilmington real estate and potential drawbacks:

Top Reasons to Invest in Wilmington Real Estate

1. Strong Job Market

Wilmington’s job market has been steadily growing, particularly in industries like healthcare, education, and technology. A robust job market can lead to increased demand for rental properties, making it an ideal environment for real estate investors.

2. Coastal Appeal

Wilmington’s coastal location, with its beautiful beaches and waterways, attracts tourists and retirees alike. This popularity drives demand for vacation rentals and retirement homes, offering a wide range of investment opportunities.

3. Diverse Property Types

Investors can choose from various property types, including historic homes, waterfront properties, and new developments. This diversity allows investors to tailor their portfolios to their preferences and investment goals.

4. Steady Appreciation

Wilmington has seen consistent appreciation in home values over the years. This can lead to long-term wealth accumulation for real estate investors as property values increase.

5. Thriving Tourism Industry

The city’s appeal to tourists means a steady stream of potential renters for vacation properties. Wilmington’s rich history, cultural events, and entertainment options contribute to a robust tourism industry.

6. Sizable Student Market

Wilmington boasts a sizable student market due to the presence of esteemed educational institutions like the University of North Carolina Wilmington (UNCW). This student population creates a steady demand for rental properties, especially apartments and student housing, offering a reliable source of rental income for investors.

7. Low NC Property Tax Rate

North Carolina has a reputation for having relatively low property tax rates compared to many other states. This favorable tax environment can enhance the profitability of real estate investments in Wilmington, as lower property taxes mean higher potential returns for investors.

Therefore, investing in Wilmington real estate offers various opportunities, driven by the city’s strong job market, coastal appeal, and property diversity. However, potential drawbacks, including competition and maintenance costs, should be carefully considered when formulating an investment strategy. Conducting thorough research and seeking advice from local real estate professionals can help investors make informed decisions in this dynamic market.

Buying an investment property is different from buying an owner-occupied home. Whether you are a beginner or a seasoned pro you probably realize the most important factor that will determine your success as a Real Estate Investor in Wilmington, NC is your ability to find great real estate investments in that area.

According to real estate experts, buying in a market with increasing prices, low interest, and low availability requires a different approach than buying in a cooler market.

We strive to set the standard for our industry and inspire others by raising the bar on providing exceptional real estate investment opportunities in U.S. growth markets. We can help you succeed by minimizing risk and maximizing profitability.

Let us know which real estate markets you consider best for real estate investing! If you need expert investment advice, you may fill up the form given here

One of our investment specialists will get in touch with you to discuss all facets of searching for, buying, and owning a turnkey investment property.


References:

  • https://www.movoto.com/wilmington-nc/market-trends/
  • https://www.redfin.com/city/29661/MA/Wilmington/housing-market
  • https://www.zillow.com/home-values/21320/wilmington-nc/
  • https://www.realtor.com/realestateandhomes-search/Wilmington_NC/overview



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